In a move to guide the changing tides of the media universe, Warner Bros. Discovery to split into two companies—a move announced Monday that is set to define the future of the media giant. The split, to be implemented by mid-2026, will create two listed entities: one focused on streaming and content creation and the other focused on traditional television and cable.

David Zaslav to Head Streaming Division

Warner Bros. Discovery CEO David Zaslav will lead the streaming and content creation business. The new entity will own some of the group's most recognizable brands: Warner Bros. film and TV studios, HBO, HBO Max, and its growing games and experiences division.

Zaslav emphasized that the split would allow the two companies to do what they do best, stating, "By being two standalone and optimized companies in the future, we are giving these iconic brands the sharper focus and strategic agility they need to compete best in today's shifting media landscape."

The streaming division has found favor in recent times with successes like The White Lotus and The Pitt. Though Warner lost the rights to broadcast the NBA, it still managed to hold its own in negotiating favorable terms in new distribution deals with cable and satellite providers.

Gunnar Wiedenfels to Manage Conventional TV Division

Meanwhile, the company's CFO, Gunnar Wiedenfels, who is best known for leading cost-cutting initiatives, will lead the legacy TV business. That division will oversee Warner's international TV networks and digital brands such as Discovery+, Bleacher Report, and CNN's new streaming businesses.

This restructuring follows closely on the heels of Comcast's recent decision to spin off NBCUniversal's majority interest in a new public company, Versant, but keep its broadcast and streaming operations under the NBC umbrella. It is part of a larger industry trend: major media conglomerates are beginning to see that putting traditional TV and streaming together under one roof may not be the best model.

Why Warner Bros. Discovery to Split into Two Companies Is a Good Idea

The logic for Warner Bros. Discovery to split into two companies stems from the recent woes of the company. Since the AT&T WarnerMedia and Discovery Communications merger timing, Warner has struggled with the fall in cable revenue, adjustments in streaming approaches, and the diminishment of such marquee cable properties as TNT and TBS. The loss of NBA rights was an additional blow, undermining one of its most consistent audience drivers.

By spinning off its businesses, Warner is seeking to cut out competition for resources within and enable each company to focus on its niche market. The streaming business can splurge on content and user interface, and the TV business can optimize returns from current assets and seek out new digital opportunities without distraction.

What's Next?

The split will be finalized by mid-2026, pending approvals. Meanwhile, the two divisions will be under the banner of Warner Bros. Discovery, with preparations for functioning as independently as possible underway.

This move would free shareholder value that is currently latent and set each company up to compete in its own niche—either to stream or to broadcast television. The real test will come later, however, as the two independent companies will attempt to stand on their own in a highly competitive media landscape. Essentially, the reality that Warner Bros.

Discovery will be split into two companies is more than a reshuffle—it's a harbinger of a changing landscape where specialization, not just scale, will be the key to success in the future.